Is Under Armour making Money? — Market Mad House

The idea of underwear as a value investment is not as strange as you could think. Berkshire Hathaway (NYSE: BRK.B) owns an underwear maker’ the Fruit of the Loom Companies.

Hence, many people will wonder if long john and sportswear maker, Under Armour Inc. (NYSE: UAA) is a value investment. Notably, Mr. Market was paying $20.43 for Under Armour on 16 December 2019. Thus, Under Armour is cheap but popular.

In addition, Under Armour is making a little money. Under Armour reported a quarterly gross profit of $689.90 million on 30 September 2019. In addition, Under Armour reported an operating income of $132.84 million and a net income of $102.31 million on the same day.

How Much Money is Under Armour Making?

Conversely, Under Armour is generating less cash. Under Armour reported a negative operating cash flow of -$10.24 million on 30 September 2019. In addition, Under Armour had a negative ending cash flow of -$38.34 million on the same day.

Thus, Under Armour is burning cash and borrowing money to finance its operations. In fact, Under Armour reported a financing cash flow of $550,000 on 30 September 2019.

In total, Under Armour had $416.60 million in cash and short-term investments on 30 September 2019. In…